Texas Investors Buy Historic Coral Gables Hotel for $63M
Pebblebrook Hotel Trust sold the historic Colonnade Hotel in Coral Gables for $63 million, SEC filings show.
Built in 1926, the Beaux Arts-style property houses 157 rooms, an outdoor pool and 34,000 square feet of indoor and outdoor event space. Located at 180 Aragon Avenue, the 157,000-square-foot building stands adjacent to Ponce de Leon Boulevard, just a block north of the Miracle Mile Strip.
In 2014, the Maryland-based hotel REIT paid $43 million for the hotel, according to property records, and completed an $18 million renovation in 2016. Last year, the hotel earned $4.1 million in net operating income and $4.8 million in earnings before interest, taxes and other deductions, per the SEC filing.
The buyers are Texas-based real estate investors Crescent Real Estate and Sage Street Equity Partners. Neither responded immediately to a request for comment.
The joint venture took a mortgage representing about 60 percent of the purchase price and is planning another renovation, said a source familiar with the transaction. The property will continue to operate under Marriott’s Autograph Collection brand.
A JLL team, led by Christopher Exler and Pamela Vasquez, represented the seller. A team headed by Mark Fisher, also from JLL, procured the debt for the buyers.
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